Early in 2008, several multinational companies operating in Ecuador started to worry about their credit operations with the country. The reason was the issuance of a new tax law reform the last days of 2007, which included, for the first time, the thin-capitalisation concept, including a very restrictive method of calculation. Regarding this topic, the issued law reads: “In order to consider interest from abroad credits as a deductible expense, the amount of the external credit should not be greater than 300% of the share capital.”